Factor Mobility

Factor Mobility

The ease with which the means of production (that is, land, labor, capital and sometimes entrepreneurship) can be moved to another location or put to a different use. For example, capital has factor mobility if one may easily sell one security and purchase another, or move money to another bank or town. A country or region with greater factor mobility may experience greater economic success.
References in periodicals archive ?
Communality values, eigen values and factor mobility properties indicate that the concentrations of Fe, Cr influenced by surface water and ground water form a ferrochrome which occurred earlier than Ni, Co in settling ponds.
In fact, if diminishing marginal returns were always valid, with factor mobility economic activities would be relatively uniformly distributed over space: Cities may disappear, and the huge income differences between developed countries and developing countries may disappear.
Absent factor mobility, fiscal transfers across countries could also ease the adjustment to temporary shocks without recourse to exchange-rate changes.
Third, the removal of barriers to factor mobility can induce further organizational changes, sometimes adversely affecting consumers, which suggests a potential complementarity between trade policy and corporate governance policy.
Multi-national economies can be considered as a system of interdependence and interaction processes by trade and factor mobility.
It shows in some detail, for example, how spatial economies emerge from the interactions among increasing returns at the level of the firm, transportation costs, and factor mobility.
In such an open economy environment, internal conditions such as fiscal imbalances and structural rigidities threaten price and wage flexibility and factor mobility, which are crucial for the sustainability of the Convertibility Plan.
Because he wants readers to make their own informed decisions, they and Ed must grapple with sunk costs, opportunity costs, present value, factor mobility, dumping, tariffs, quotas, voluntary restraint agreements, the infant industry argument, the national security argument, industrial policy, the rise of the service sector, income inequality, the causes of the Japanese catch-up, how to correctly compare incomes across countries, and many other issues and concepts.
Limited financial flexibility, given cash usage trends; --AMD's modest share of the overall PC market and limited share in rapidly growing small-form factor mobility products; --High R&D intensity as a fabless semiconductor maker.
He constructs and presents two models: a static model that predicts what types of interjurisidictional redistributive schemes emerge as a voting equilibrium and how they affect the productive efficiency of the economy under alternative scenarios of factor mobility and a dynamic model of output growth and income convergence that focuses on the interaction between interjurisdictional redistributive programs and the process of factor relocation that drives convergence.